Episode 47 - Claims

Construction claims typically stem from either contractual entitlements for loss and expense or damages resulting from breaches of contract. Contractors often submit claims due to inadequate documentation, genuine financial losses, or speculative attempts to improve their financial position. Effective project management mitigates these risks through rigorous record-keeping, adherence to design freeze dates, and realistic completion schedules. When errors occur—such as failing to verify sightlines on a barn conversion—architects must prioritize transparent client communication and seek expert technical advice while navigating professional indemnity insurance requirements. Resolving disputes in-house or through contract-defined mechanisms avoids costly litigation and preserves project viability. Ultimately, success relies on establishing clear cause-and-effect relationships for any financial loss, ensuring that claims remain within the scope of the original agreement to maintain project control and financial stability.